Convenience Retail Segment Likely To Outperform In 2012

摘要

2011 was a turbulent period for Japanese mass grocery retail (MGR)ncompanies. As Japanese individuals bore the brunt of the economicnhit in the wake of the earthquake on March 11 2011, the majoritynof domestic MGR players have struggled to improve their revenuengrowth performance in FY2011/12 (ending February 2012). Whilendomestic demand conditions are improving, 2012 is still likely tonprove challenging for MGR players given heightened consumernprice sensitivity. We maintain our expectations of convenience retailnoutperformance on the back of aggressive store openings and productnexpansions among domestic convenience retailers.